Mercer, Kogan to launch super fund

Mercer is partnering with Kogan to establish one of Australia's cheapest superannuation offerings.

Mercer and Kogan have partnered to launch a "new no frills, ultra-low fee" superannuation fund to be named Kogan Super.

According to a joint statement, the fund will leverage Kogan's digital efficiency to be one of Australia's cheapest super options and is expected to launch in early 2019.

Kogan will provide the branding and marketing while Mercer will provide the investment management, administration and customer service.

The solution marries Kogan's expertise as an e-commerce leader with Mercer's global scale and know-how, Mercer chief executive and managing director Ben Walsh said.

"As one of the largest superannuation providers in Australia ... we are able to use our global scale and expertise to drive competition and get better results for clients and members," Walsh said.

"In an industry where scale and cost efficiencies count, this new alliance will enable Kogan to create value at scale through their trusted online brand and huge customer base."

Kogan executive director David Shafer said he is delighted with the new partnership, describing Mercer as a clear leader in the provision of cost-effective and efficient super services.

"This partnership will deliver a no frills superannuation offering with ultra-low fees that will enable Aussies to retain and preserve more of their personal wealth," he said.

"Albert Einstein once said that 'compound interest is the eighth wonder of the world. He who understands it, earns it. He who doesn't, pays it'. Every Australian should consider whether the power of compounding is working for them through low fees or against them through the ongoing erosion of their wealth by high fees."

Kogan's mission is to deliver price leadership through digital efficiency and the business is proud to be able to help Australian's preserve more of their wealth, he added.

Read more: KoganMercersuperannuationDavid ShaferKogan Super
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